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Tuesday 30 January 2018
Former High School Librarian Sentenced to 15 Years in Prison for Kidnapping ConspiracyRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that CHRISTOPHER ASCH was sentenced yesterday to 15 years in prison for conspiring to kidnap, rape, and murder the wife of a man he had met over the Internet, as well as a female Federal Bureau of Investigation (“FBI”) agent working in an undercover capacity. ASCH was convicted of two counts of kidnapping conspiracy following a jury trial before U.S. District Judge Paul G. Gardephe, who imposed the sentence.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Christopher Asch, a former New York City public school librarian, received a significant prison term for his involvement in two sadistic kidnapping, rape, and murder conspiracies. Prosecuting and bringing to justice perpetrators of such depraved and violent crimes is at the core of this Office’s mission. We thank our law enforcement partners at the FBI for their tireless efforts to bring Asch to justice.”
According to the charging document, other documents previously filed in Manhattan federal court, and in statements made during court proceedings:
Between the spring of 2011 and January 2013, ASCH, Richard Meltz, and Michael Van Hise engaged in a series of email and instant message communications during which they discussed and planned the kidnapping, torture, and murder of Van Hise’s wife and other members of Van Hise’s family. Van Hise sent ASCH and Meltz photographs of these family members, and the approximate location of their residence.
In addition, beginning in approximately January 2013, ASCH, Meltz, and an FBI agent working in an undercover capacity (“UC-1”), began discussions about kidnapping a woman, who unbeknownst to ASCH and his co-conspirators was also an FBI agent working in an undercover capacity. UC-1 and ASCH met on a number of occasions in Manhattan, and during one meeting ASCH provided UC-1 with a bag of materials to be used during the kidnapping and torture of the intended victim, including, among other things, a ski mask, hypodermic needles, leather ties, chrome forceps, a three-page gun show itinerary, documents relating to a “leg-spreader” and “dental retractor” that ASCH claimed to have purchased, and the liquid form of doxepin hydrochloride, commonly used as a sleep agent. ASCH also traveled from New York to Pennsylvania to attend a gun show and purchased a high-voltage Taser gun to incapacitate the victim during the planned kidnapping.
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In addition to the prison term, ASCH, 65, of Manhattan, New York, was sentenced to five years of supervised release.
Meltz, 67, of Linden, New Jersey, pled guilty in September 2014 before Judge Gardephe and was sentenced to 10 years in prison. Van Hise, 27, of Newark, New Jersey, was convicted in March 2014 following a jury trial before Judge Gardephe and is awaiting sentence.
Mr. Berman praised the outstanding investigative work of the FBI.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Hadassa Waxman and Brooke Cucinella are in charge of the prosecution.
Former Hamburg Resident Sentenced for Wire Fraud and Tax Evasion in Connection with Investment Fraud SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Christopher F. Venti, 49, of Ocala, Florida, formerly of Hamburg, NY, who was convicted of wire fraud and tax evasion, was sentenced by U.S. District Judge Elizabeth Wolford to 46 months in prison. Venti was also ordered to pay approximately $1,700,000 in restitution.
Assistant U.S. Attorney MaryEllen Kresse, who handled the case, stated that the defendant devised and executed schemes to obtain money from individuals by misrepresenting the existence and success of investment opportunities in order to convince those victims to transfer funds to him or to bank accounts he controlled. Venti engaged in three separate investment schemes between May 2011 and February 2014 as a result of which investors were defrauded of approximately $7,700,000. The defendant, without the authorization of the investors, utilized a portion of those investor funds for personal use.
Between 2006 and 2012, Venti also filed individual income tax returns with the Internal Revenue Service on which he willfully evaded the payment of approximately $216,000 in taxes due and owing.
The sentencing is the result of an investigation by Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen, and the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office.
Five Members of International Organized Criminal Enterprise Indicted in More Than $9.5 Million Counterfeit Documents Fraud SchemeRead the Press Release
WASHINGTON – Five of six alleged members of an international criminal conspiracy were arrested and appeared before the Court in Dallas, Texas on charges related to their alleged roles in an international fraud scheme that has used counterfeit driver’s licenses and counterfeit money orders to obtain monies from victim bank accounts around the United States.
The arrests and charges were announced by Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division; U.S. Attorney Erin Nealy Cox for the Northern District of Texas; and Inspector in Charge Regina Faulkerson of the U.S. Postal Inspection Service, Criminal Investigations Group.
John Lewis Davis II, 43, and Rasheed Wriden, 34, both of Dallas; Valandus Javon Gibson, 28 of Chicago, Illinois; Ralph Deon Taylor, 47, of Long Beach, California; and Craig Allen, 70, of Phoenix, Arizona, were all charged in a 14-count indictment unsealed on Thursday.
Davis, Gibson, Taylor, Allen, and Wriden are charged with conspiracy to commit wire fraud and mail fraud, and conspiracy to launder monetary instruments.
Davis, Gibson, and Allen, are charged with conspiracy to commit bank fraud.
Davis, Allen, and Wriden are charged with mail fraud.
Davis, Taylor, Allen, and Wriden are charged with possession and transmission of counterfeit money orders.
Davis, Taylor, and Allen are charged with transferring counterfeit driver’s licenses.
The indictment alleges that from about April 2013 to December 2017, the defendants conspired with each other and individuals in other countries including Nigeria to obtain money through various acts of fraud. This included posting misleading advertisements of detailed descriptions of job opportunities, such as for mystery shopper positions, that were not valid job opportunities. The defendants are alleged to have conspired to pose as employers of these fraudulent job opportunities to lure victims, who resided throughout the United States and Canada.
The defendants are alleged to have conspired to obtain counterfeited driver’s licenses and money orders, which were shipped into the United States. The counterfeited money orders were shipped to co-conspirators, who then mailed them to unwitting victims who were under the mistaken belief that they were fulfilling the job duties of mystery shopper positions. The victims were instructed to deposit the counterfeit money orders and securities, mailed as payment for the mystery shopper jobs, into personal bank accounts and send a portion of the monies via money transfer businesses, to individuals known and unknown in the United States and elsewhere. After the unwitting victims cashed the counterfeited money orders and wired money to co-conspirators, the co-conspirators are alleged to have retrieved the wire transfers with the use of a counterfeited driver’s license.
According to the indictment, the purpose of the conspiracy was to fraudulently obtain monies from counterfeited U.S. Postal money orders and counterfeit checks, by sending and receiving them through the U.S. Postal Service and commercial carriers to other individuals, who would then negotiate the money orders and checks and wire the funds to the defendants using money service businesses.
The charges in the indictment are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the U.S. Postal Inspection Service, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Rowlett Police Department.
The case was prosecuted by Trial Attorney Leshia Lee-Dixon of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney David Jarvis from the U.S. Attorney’s Office for the Northern District of Texas – Dallas Division.
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Fitzgerald Drug Distribution Network DismantledRead the Press Release
United States Attorney Charles E. Peeler announces sentences imposed on the defendants listed below January 30, 2018[1], by United States District Court Judge Leslie J. Abrams in Albany, Georgia.
- Deaundrea C. Peal, age 30 of Fitzgerald, Georgia was sentenced to serve 240 months in federal prison. Peal was designated a Career Offender by the court based on his prior convictions for Possession of Cocaine with Intent to Distribute; Possessing Controlled Substances in School; Possession of Marijuana with Intent to Distribute; and Possessing Marijuana; on September 25, 2005, in the Superior Court of Ben Hill County, Georgia in case number 05CR-176; and Sale of Cocaine; Possessing Controlled Substances Near Schools; Possession of Marijuana with Intent to Distribute; Trafficking In Cocaine; Trafficking in Ecstasy; Possession of Tools for The Commission of Crime on June 14, 2007, in the Superior Court of Ben Hill County, Georgia in case number 06CR-228.
- Dwayne Peal, age 36 of Fitzgerald, Georgia was sentenced to serve 24 months on probation;
- Gwen Peal, age 58 of Fitzgerald, Georgia was sentenced to serve 60 months on probation;
- Marisela Mier, age 27 of Douglas, Georgia was sentenced to serve 48 months in federal prison
- Irvin Falcon, age 23 of Fitzgerald, Georgia was sentenced to serve 260 months in federal prison. This sentence is to run consecutive to a sentence he is currently serving in the custody of the Georgia Department of Corrections for a prior conviction for Burglary in the First Degree, to end in October 2025;
- Rendell Townsend, age 28 of Fitzgerald, Georgia was sentenced to serve 36 months in federal prison. His sentence was imposed on January 10, 2018.
- Eujenio Falcon has entered a plea of guilty in the case as well and is scheduled to be sentenced on March 13, 2018.
There is no parole in the federal system.
Each of the defendants plead guilty in this case. Deaundrea Peal, Marisela Mier, Irvin Falcon, Eujenio Falcon and Rendell Townsend plead guilty to possessing, distributing or conspiring to possess and distribute methamphetamine. Dwayne Peal plead guilty to possessing marijuana with the intent to distribute. Gwen Peal plead guilty to Misprision of Felony.
At their plea hearings, the Defendants admitted the following facts:
Defendant Irvin Falcon was in the custody of the Georgia Department of Corrections (GDC) at Calhoun State Prison in Morgan, Calhoun County, Georgia and was using a contraband cellular telephone to direct the activities of others in this case. In Spring 2017, investigators developed a confidential informant who could contact I. Falcon on this contraband phone and arrange to have methamphetamine delivered in the Fitzgerald, Georgia area. Multiple purchases of ounce and multi-ounce quantities of methamphetamine were arranged through I. Falcon. I. Falcon arranged for others to deliver the drugs for him including Deaundrea Peal, Marisela Mier, and Eujenio Falcon. Later, investigators arranged for the informant to introduce an undercover agent to Deaundrea Peal for the purpose of the undercover agent obtaining methamphetamine directly from Deaundrea Peal. On one occasion, Deaundrea Peal arranged for Rendell Townsend to deliver the methamphetamine for him.
As a result of Deaundrea Peal’s sales of methamphetamine to the agent, search warrants were authorized for a residence Deaundrea Peal shared with his brother, Dwayne Peal, and for the residence of Gwen Peal, their mother. At the residence shared by the brothers, agents located approximately 16 grams of marijuana in multiple balloon-covered suppository-shaped bindles in a container with sexual lubricant and a letter from an inmate addressed to Dwayne Peal. At Gwen Peal’s residence agents located approximately twelve (12) ounces of methamphetamine inside two (2) cereal boxes in her refrigerator. Gwen Peal later admitted that she failed to tell the agents everything she knew about the methamphetamine stored at her residence by Deaundrea Peal.
In total agents seized approximately 750 grams of methamphetamine and approximately 16 grams of marijuana as a result of this investigation.
United States Attorney Peeler stated: “This office, with the assistance of our partnering federal and state law enforcement agencies, will prosecute to the fullest extent of the law those persons who choose to engage in the illicit distribution of narcotics such as methamphetamine and marijuana. The sentences handed down in this case reflect our commitment to holding drug dealers accountable for their actions, whether they choose to sell their drugs directly on the streets of our neighborhoods, or in Irvin Falcon’s case, from the inside of a prison cell.”
Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division commented on the pleas, “These guilty pleas are a direct result achieved only through the dedicated efforts of local, state and federal law enforcement and the subsequent prosecution by the U.S. Attorney’s Office. The distribution of methamphetamine continues to ravage many communities and marijuana is a dangerous drug that poses a threat to its users who think it is a benign drug. Many communities are much safer because these individuals have been removed from the streets.”
“Criminal activity being carried out from behind the walls of our prisons will not be tolerated, and we are grateful to our State and Federal partners for their assistance in bringing this case to a close,” said GDC Commissioner Gregory C. Dozier.
The case was investigated by the Drug Enforcement Administration, Macon Office the Georgia Bureau of Investigation, Sylvester Office and the Ben Hill County Sheriff’s Office. Assistant United States Attorney Leah McEwen prosecuted the case for the United States.
Questions concerning this case should be directed to Pamela Lightsey, United States Attorney’s Office, at (478) 621-2603.
[1] Townsend was sentenced earlier as indicated below.
Financial advisor from Shaker Heights charged with embezzling $287,000 from clientRead the Press Release
A Shaker Heights man was charged in federal court with defrauding an investor out of more than $287,000, said U.S. Attorney Justin E. Herdman, FBI Special Agent in Charge Stephen D. Anthony and IRS Special Agent in Charge Ryan L. Korner.
James M. Unger, 51, was charged via criminal information with two counts of wire fraud and five counts of filing false tax returns.
Unger worked as a securities broker and investment advisor who provided financial advice to clients. Between 2006 and 2014, Unger devised a scheme to defraud an investor identified in court documents as E.C., according to court documents.
E.C. executed a durable power of attorney in 2007, which gave Unger control of her financial affairs. A few months later, Unger convinced E.C. to invest in a high-risk international casino project based on Unger’s assurances that it was a safe, lucrative investment opportunity. Unger and others provided E.C. with promissory notes guaranteeing a 15 percent annual rate of return, according to court documents.
E.C. invested approximately $407,000 in the project between 2008 and 2009. By 2012, Unger had wired money from E.C.’s bank account, without her knowledge or consent, to another client. He converted her investment to stock in a new company and convinced E.C. to invest an additional $79,985, according to court documents.
In 2014, E.C. told Unger she wanted to liquidate her investment in the casino project. She believed her investment, including earnings, totaled approximately $1.9 million, but her total investment was actually lost, according to court documents.
Unger had actually embezzled funds from E.C.’s bank accounts to enrich himself and pay for his own personal expenses, including pay his daughter’s college expenses, according to court documents.
In total, Unger embezzled approximately $287,464 from E.C. He also failed to claim some of this income on his tax returns between 2011 and 2015, according to court documents.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Robert J. Patton and Alejandro A. Abreu following an investigation by the FBI and IRS – Criminal Investigations.
An information is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Federal Gun Defendant Sentenced to 72 MonthsRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that United States District Judge David C. Norton sentenced Frank “Kilo” Odom, age 30, of North Charleston, South Carolina, to 72 months in federal prison followed by three years of supervised release. Odom was convicted at trial earlier this year in federal court in Charleston on charges of felon in possession of a firearm and of selling cocaine to an undercover ATF agent. The investigation, which began in 2015, was launched to investigate gun and drug-trafficking activities in the Charleston-metropolitan area. During this investigation, agents made undercover buys from Odom, to include the purchase of cocaine and a .40 caliber pistol.
Ms. Drake commended the agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) for their work on this case. Assistant United States Attorney Sean Kittrell prosecuted the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
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Federal Drug Charges Filed Against Southeast Kansas Man Who Was Arrested After Boat ChaseRead the Press Release
WICHITA, KAN. – A southeast Kansas man was indicted Tuesday on federal drug and firearm charges, U.S. Attorney Stephen McAllister said.
Scott Joseph Skibo, 54, Chetopa, Kan., was charged with one count of possession with intent to distribute marijuana, and one count of unlawful possession of a firearm in furtherance of drug trafficking. The indictment alleges that on Sept. 18, 2017, Skibo possessed fifty or more marijuana plants and a .40 caliber Glock 22 handgun.
The Kansas Bureau of Investigation announced in September that agents arrested Skibo for cultivating marijuana on an island in Elmore Park within the city limits of Chetopa, Kan. He attempted to flee law enforcement in a boat before he was arrested.
If convicted, Skibo faces not less than five years in federal prison and a fine up to $250,000 on the firearm charge, and up to five years and a fine up to $250,000 on the marijuana charge. The KBI, the Labette County Sheriff’s Department and the Chetopa Police Department investigated. Special Assistant U.S. Attorney Kimberly Rodebaugh is prosecuting.
OTHER INDICTMENTS
Danny Acosta-Zavala, 32, and Cecilia Ann Rios, 36, are charged with one count of possession of more than 12 pounds of heroin. The crime is alleged to have occurred Jan. 1, 2018, in Thomas County, Kan.
If convicted, they face not less than 10 years in federal prison and a fine up to $10 million. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Kimberly Rodebaugh is prosecuting.
Manuel Hernandez, 43, Wichita, Kan., is charged with one count of escaping from custody at the Mirror, Inc., in Wichita.
If convicted, he faces up to five years in federal prison and a fine up to $250,000. The U.S. Marshals Service investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Rodolfo Moreno-Banuelos, 29, a citizen of Mexico, is charged with one count of unlawful possession of a firearm by an alien illegally in the United States. He was found Jan. 13, 2018, in Sedgwick County, Kan.
Immigration and Customs Enforcement’s Enforcement Removal Operations investigated. Assistant U.S. Attorney David Lind is prosecuting.
Jesus Benito Vergara-Gonzalez, 24, of Kansas City, Mo., is charged with one count of misusing a Social Security number and one count of aggravated identity theft. The crimes are alleged to have occurred March 21, 2017, in Kansas City, Kan.
If convicted, he faces up to five years in federal prison and a fine up to $250,000 on the Social Security charge and a mandatory two years (consecutive) and a fine up to $250,000 on the identity theft charge. The Kansas Department of Revenue investigated. Assistant U.S. Attorney Aaron Smith is prosecuting.
William Daniel Wycoff, 32, Wichita, Kan., is charged with one count of unlawful possession of ammunition following a felony conviction. The crime is alleged to have occurred Jan. 13, 2018, in Sedgwick County, Kan.
If convicted, he faces up to 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Aaron Smith is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Fairfield Man Who Sold Heroin and Fentanyl to Deep River Overdose Victim Sentenced to PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOHN VIBBERT, 37, of Fairfield, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 12 months and one day of imprisonment, followed by three years of supervised release, for distributing heroin and fentanyl involved in an overdose death.
This prosecution is part of an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, in the early hours of May 31, 2016, Connecticut State Police and emergency medical personnel responded to a residence in Deep River and found an unresponsive 35-year-old male. Although CPR was performed and Narcan was administered, the man was pronounced deceased at the scene.
The investigation, which has included analysis of the victim’s cellphone and a witness interview, revealed that, on May 30, 2016, the victim contacted VIBBERT to purchase heroin. The victim then drove to a restaurant near I-95 in Bridgeport where he met VIBBERT to complete the purchase.
The Office of the Chief Medical Examiner determined the victim’s cause of death to be “acute heroin and fentanyl toxicities.”
VIBBERT was arrested on a criminal complaint on March 27, 2017. On August 23, 2017, he pleaded guilty to one count of distribution of heroin and fentanyl.
VIBBERT, who is released on a $50,000 bond, was ordered to report to prison on April 30.
This matter was investigated by the Drug Enforcement Administration and the Connecticut State Police, with the assistance of the Monroe Police Department. The case was prosecuted by Assistant U.S. Attorneys Lauren Clark and Michael McGarry.
FCI-Loretto Inmate Sentenced to 18 Months in Prison following Guilty Plea to Possession of SuboxoneRead the Press Release
JOHNSTOWN, Pa. – An inmate at the Federal Correctional Institution in Loretto, Pa., pleaded guilty in federal court in Johnstown to a charge of possession of a prohibited object in prison, and immediately following, was sentenced to 18 months in prison, consecutive to the current prison term he is serving, and three years’ supervised release, United States Attorney Scott W. Brady announced today.
John D. Barnett, Jr., 41, pleaded guilty to the indictment before United States District Judge Kim R. Gibson.
In connection with the guilty plea, on December 24, 2016, Barnett, while an inmate at FCI Loretto, possessed a quantity of Suboxone.
Assistant United States Attorney Stephanie L. Haines prosecuted this case on behalf of the government.
Mr. Brady commended the Laurel Highlands Resident Agency of the Federal Bureau of Investigation, and the Federal Correctional Institution, Special Investigative Staff, for the investigation leading to the successful prosecution of Barnett.
Eagle Butte Man Sentenced for Assaulting a Federal OfficerRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man convicted of Assaulting, Resisting, Opposing and Impeding a Federal Officer, was sentenced on January 23, 2018, by U.S. District Judge Roberto A. Lange.
Matthew Dupris, age 29, was sentenced to 7 months custody, followed by 2 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Dupris was indicted by a federal grand jury on June 14, 2017. He pled guilty on October 5, 2017.
The conviction stemmed from an incident on May 25, 2017, when law enforcement was dispatched to a residence for assistance in removing Dupris from the home due to him being intoxicated. Dupris had previously been released on Tribal Court charges, and had been ordered not to consume alcoholic beverages while he was out on bond. Upon law enforcement arrival, Dupris was advised that he was under arrest for violating the conditions of his Tribal Court release from custody. While walking towards the patrol car, Dupris pulled away from the officer, turned towards them and spit on the officer. The officer was able to get Dupris into the back of the patrol car and transported him to the Cheyenne River Adult Detention Center, where he was turned over without further incident.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Service. Assistant U.S. Attorney Jay Miller prosecuted the case.
Dupris was immediately turned over to the custody of the U.S. Marshals Service.
Eagle Butte Man Sentenced for AssaultRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man convicted of Simple Assault and Assault by Striking, Beating and Wounding, was sentenced on January 22, 2018, by U.S. District Judge Roberto A. Lange.
Phillip Mound, age 26, was sentenced to 18 months in custody, followed by 1 year of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $35.
Mound was indicted by a federal grand jury on December 14, 2016. He was found guilty by a jury of simple assault and assault by striking, beating and wounding on November 2, 2017,
The conviction stemmed from an incident on October 18, 2016, when Mound assaulted his girlfriend after getting into an argument with her.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
Mound was immediately turned over to the custody of the U.S. Marshals Service.
Dupree Woman Charged with Involuntary ManslaughterRead the Press Release
United States Attorney Ron Parsons announced that a Dupree, South Dakota, woman has been indicted by a federal grand jury for Involuntary Manslaughter.
Dale Hendricks, age 36, was indicted on January 17, 2018. She appeared before U.S. Magistrate Judge Mark A. Moreno on January 22, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 8 years in custody, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about November 3, 2017, Hendricks did unlawfully kill an infant in a grossly negligent manner by rolling over and laying on the infant while she was asleep.
The charge is merely an accusation and Hendricks is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Hendricks was released on bond, subject to conditions, pending trial. A trial date has not been set.
District Man Sentenced to Five Years in Prison for Hitting Transgender Woman While Driving a Stolen CarRead the Press Release
WASHINGTON – Startwaune Anderson, 19, of Washington, D.C., was sentenced today to five years in prison for hitting and critically injuring a transgender woman while driving a stolen car and on PCP, U.S. Attorney Jessie K. Liu announced.
Anderson pled guilty in November 2017, in the Superior Court of the District of Columbia, to aggravated assault while armed. The plea agreement, which was contingent upon the Court’s approval, called for an agreed-upon sentence of five to six years in prison. The Honorable Anthony Epstein accepted the plea and sentenced the defendant accordingly. Following his prison term, Anderson will be placed on five years of supervised release.
According to a proffer of facts filed at the time of the plea, in the early morning hours of July 5, 2017, Anderson found car keys to a 2014 Ford Focus hatchback in the 1200 block of Morse Street NE. He identified the vehicle that matched the keys and drove off without the owner’s permission. At approximately 3:15 a.m. on July 5, Anderson drove across the intersection of Fourth and K Streets NE, running over the victim, a transgender woman.
Anderson fled the scene without checking on the well-being of the person he had struck. A couple of hours later, he was seen crashing into the fence at Gallaudet University. A witness reported seeing him exit the vehicle with a bottle of vodka in hand. He then fled the scene.
On July 6, 2017, Anderson was interviewed by the Metropolitan Police Department (MPD) and admitted to having been under the influence of PCP and Xanax. He also admitted having taken and driven the Ford Focus without the owner’s permission.
The victim suffered critical injuries, including bleeding on the brain, multiple rib fractures, a lacerated spleen, and a punctured lung. She was sedated and on a respirator for a couple of weeks and still must undergo outpatient rehabilitation treatment.
In announcing the sentence, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department (MPD). She also expressed appreciation for the work of those who handled the case for the U.S. Attorney’s Office, including Paralegal Specialist Tiffany Fogle, Victim/Witness Advocate Diana Lim, Assistant U.S. Attorney Jennifer Kerkhoff, and the Violent Repeat Offender Unit of the U.S. Attorney’s Office.
Finally, she commended the work of Assistant U.S. Attorney Monica Trigoso, who investigated and prosecuted the case.
Couple charged with illegally selling prescription medical devicesRead the Press Release
ATLANTA - Kimverlee Aderhold and Eric E. Ramey, Jr., have been arraigned on federal charges of unlawfully selling stolen medical devices that require a prescription without an actual prescription. Aderhold and Ramey were indicted by a federal grand jury on January 23, 2018.
“The medical products the defendants allegedly stole can only be obtained with a prescription from a medical provider,” said U.S. Attorney Byung J. “BJay” Pak. “They sold them to unsuspecting consumers without determining whether the products were safe for the consumers to use and without instructing the consumers on how to use the products safely. In doing so, the consumers’ health and safety were placed in jeopardy.”
“When prescription devices are stolen and diverted from the legal supply chain, there is no longer any assurance that the products are safe and effective for their intended uses,” said Peter Kuehl, Acting Special Agent in Charge, FDA's Office of Criminal Investigations' Miami Field Office. “This announcement should serve as a reminder of the FDA's continued focus on individuals that put profits ahead of the health and safety of U.S. consumers.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Aderhold was employed as the Retail Manager in Georgia for Advanced Home Care, a durable medical device company that has retail locations in Marietta and Norcross. Advanced Home Care is a retail distributor of CPap and BiPap machines and portable oxygen concentrators. The use of these medical products is not safe except when used under the supervision of a medical practitioner licensed by law to oversee their use. Federal law requires that CPap and BiPap machines and portable oxygen concentrators be purchased only with a prescription issued by a licensed medical practitioner.
Aderhold allegedly stole CPap and BiPap machines and portable oxygen concentrators from the inventory of the Advanced Home Care stores she managed. She and Ramey would advertise the stolen products for sale, primarily on Craigslist. Once a buyer responded to their advertisement, Ramey or Aderhold allegedly would meet with the buyer and sell the stolen medical equipment for cash only. The defendants did not ask the buyers to produce prescriptions for the devices. Ramey and Aderhold did not provide instructions to the buyers regarding the safe use of the stolen medical devices.
Kimverlee Aderhold, 27, and Eric E. Ramey, Jr., 31, both of Grayson, Georgia, were arraigned before U.S. Magistrate Judge Catherine M. Salinas, and are charged with conspiring to steal medical products that can be obtained only with a prescription and possession of the same stolen medical products. They are also charged with multiple counts of theft of such medical products and possession of stolen medical products. Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated by the Food and Drug Administration, Office of Criminal Investigations.
Assistant U.S. Attorney William L. McKinnon, Jr., is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Convictions of Human Trafficking in North MississippiRead the Press Release
OXFORD, Miss. – United States Attorney William C. Lamar and Christopher Freeze, Special Agent in Charge at the Federal Bureau of Investigation announced today that Ricky Robertson a.k.a. “Slick Rick” and Ladarius Jackson, a.k.a. “Dee Don” were sentenced on sex trafficking charges before Chief District Judge Sharion Aycock in Federal Court in Oxford, Mississippi. Robertson previously entered a guilty plea on Count One of the Indictment – Sex Trafficking Conspiracy – in violation of Title 18 United States Code Section 1594(c) and was sentenced to serve 188 months imprisonment followed by 5 years of supervised release. Jackson previously entered a guilty plea to Count Three of the Indictment – Travelling in Interstate Commerce to Engage in Prostitution – in violation of Title 18, United States Code Section 2421 and was sentenced to serve 33 months imprisonment followed by 5 years of supervised release.
Both Robertson and Jackson admitted to transporting prostitutes from Memphis, Tennessee to Oxford, Mississippi in order to engage in commercial sex acts. Robertson admitted to trafficking the prostitutes through fraud and coercion by controlling the money they earned from commercial sex.
“Human trafficking is not a victimless crime,” remarked United States Attorney William C. Lamar. “Women, many of whom are very young, are often coerced into prostitution by predators, taken advantage of, and are frequently victims of violence. Along with federal, state and local law enforcement, we will continue to address this problem in our District and prosecute those responsible.”
Human trafficking steals the innocence from our children and young women, and the individuals who prey upon the vulnerable need to be removed from our society,” said Christopher Freeze, Special Agent in Charge of the FBI in Mississippi. “Human trafficking victims often feel pressured with the threat of violence toward them or their families, giving them the false reality that prostitution is their only means of making a living. We ask the public to be vigilant to the signs of human trafficking and notify law enforcement when they see what they believe is the unconscionable act of buying and selling human beings.”
This matter was prosecuted by Assistant United States Attorney Clay Dabbs of the United States Attorney’s Office for the Northern District of Mississippi, and investigated by the Federal Bureau of Investigation, the Oxford Police Department and the Lafayette County Sheriff’s Department.
Columbia Man Pleads to Federal Firearm ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Cedric K. Reddick, age 24, of Columbia, plead guilty in federal court to conspiracy to steal firearms from a federal firearms licensee and to being a felon in possession of a firearm, all in violation of Title 18, United States Code, Sections 371, 922(g)(1) and 924(a)(2). United States District Judge Michelle Childs, of Columbia, accepted the guilty plea and will impose sentence after she has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented in court established on August 5, 2016, Tony’s Guns and Police Supplies, a federal firearms licensee, in Sumter, was burglarized and 69 handguns stolen. The investigation revealed similarities between that burglary and other burglaries of liquor stores in several counties. Through the investigation, law enforcement was able to identify Reddick as one of the suspects after a DNA match linked him to a burglary of one of the liquor stores. Additionally, a search warrant at Reddick’s apartment revealed a 9mm handgun stolen during the burglary of Tony’s Guns and Police Supplies. Reddick’s co-defendant’s case is still pending in federal court and he remains innocent unless and until he is proven guilty.
Reddick is prohibited under federal law from possessing firearms based upon a prior state conviction for burglary 2nd degree and a prior New Jersey federal conviction for transportation of stolen firearms. At the time of this incident, Reddick was on federal supervised release after serving time on the 2013 federal conviction.
Reddick faces a maximum of 5 years imprisonment, a fine of $250,000, and 3 years of supervised release on the conspiracy charge. On the felon in possession of a firearm charge, Reddick faces a maximum of 10 years imprisonment, a fine of $250,000, and 3 years of supervised release.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Sumter County Sheriff’s Office, the Newberry County Sheriff’s Office, the South Carolina State Law Enforcement Division (SLED), the Clinton Police Department, the Fairfield County Sheriff’s Office, the Richland County Sheriff’s Department, and the Lexington County Sheriff’s Department and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
Project Ceasefire is South Carolina’s continued application of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
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Colorado Man Sentenced for Attempted Receipt of Child PornographyRead the Press Release
United States Attorney Ron Parsons announced that a Fort Collins, Colorado, man convicted of Attempted Receipt of Child Pornography was sentenced on January 24, 2018, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Levi Drussell, age 25, was sentenced to 71 months of imprisonment, followed by 10 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Drussell was one of ten men who were arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2016 Sturgis Motorcycle Rally, targeting persons willing to pay to have sex with underage girls or boys obtained through the Internet. The conviction stemmed from Drussell communicating with someone he believed to be a minor for the purpose of engaging in sexual acts. Additionally, Drussell sent multiple pornographic images of himself and repeatedly requested the minor send him child pornography images of herself.
The undercover operation and arrests were a joint effort between the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Federal Bureau of Investigation, the Rapid City Police Department, and the Pennington County Sheriff’s office. Assistant U.S. Attorney Sarah Collins prosecuted the case.
Drussell was immediately remanded to the custody of the U.S. Marshals Service.
City of Miami Police Officer Charged in Ponzi SchemeRead the Press Release
City of Miami police officer Dermis Hernandez, 41, of Homestead, was arrested by the FBI for participation in a scheme where Hernandez falsely represented to victim investors that he was able to offer a low risk investment with guaranteed returns through high-interest loans his company made to Costa Rican property owners.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida, Robert F. Lasky, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Jorge Colina, Chief, City of Miami Police Department (MPD), made the announcement.
On January 29, 2018, Hernandez was arrested at the Fort Lauderdale airport before boarding a flight to Costa Rica. Hernandez was charged by complaint with a conspiracy to commit wire fraud, in violation of Title 18, United States Code, Section 1349. It is alleged that, Hernandez told investors that their investment funds provided loans for the property owners in Costa Rica whose real property would be used as collateral for the loan and forfeited if the loan was not paid. In truth, Hernandez and his co-conspirators used the majority of investor funds for personal enrichment and to pay the returns of other investors.
Mr. Greenberg commended the investigative efforts of the FBI and the MPD. This case is being prosecuted by Assistant U.S. Attorney Matthew Langley.
A criminal complaint is merely an allegation and every defendant is presumed innocent until proven guilty.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Chicago Man Sentenced to Four and a Half Years in Federal Prison for Illegally Buying Guns in Indiana and Bringing Them to ChicagoRead the Press Release
CHICAGO — A Chicago man has been sentenced to four and a half years in federal prison for illegally buying 17 handguns in Indiana and bringing them across the border to Chicago.
RICKY HATCH, also known as “Rick Hatchet” and “Ricky Hatchet,” purchased the firearms from an unlicensed individual in a parking lot in Bloomington, Ind., on three occasions in February 2015. In the first sale, Hatch recruited a resident of Indianapolis, Ind., to serve as the ostensible buyer. The seller reviewed the Indiana resident’s driver’s license and listed some of her information on a purported “firearms bill of sale” before selling the guns to Hatch in exchange for cash. Although the Indiana resident did not accompany Hatch to the next two transactions, Hatch used aliases in those deals to conceal his identity.
After each purchase, Hatch brought the guns to Chicago. The Chicago Police Department has subsequently recovered five of the guns from individuals other than Hatch.
Hatch, 25, pleaded guilty last year to unlawful interstate transportation of firearms. On Jan. 18, 2018, U.S. District Judge Ronald A. Guzman imposed a 55-month prison sentence.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Celinez Nunez, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives; and Eddie Johnson, Superintendent of the Chicago Police Department.
“The impact of firearms brought from Indiana and sold to individuals in Illinois is well documented,” Assistant U.S. Attorney Brian S. Wallach argued in the government’s sentencing memorandum. “Defendant’s actions, and those like him who bring gun after gun into this city, are fueling the violence that we read about on a daily basis.”
The government was represented by Mr. Wallach and Assistant U.S. Attorney Katie M. Durick.
Charleston meth dealer pleads guilty to federal drug crimeRead the Press Release
CHARLESTON, W.Va. – A Charleston man caught with methamphetamine and guns in February 2017, pleaded guilty yesterday to a federal drug charge, announced United States Attorney Mike Stuart. Derrick Houston, 39, entered his guilty plea to possession with intent to distribute 50 grams or more of methamphetamine. U.S. Attorney Stuart commended the Metropolitan Drug Enforcement Network Team and the Bureau of Alcohol, Tobacco, Firearms and Explosives for their investigative efforts.
On February 28, 2017, officers with the Metropolitan Drug Enforcement Network Team executed a search warrant at Houston’s residence on Beech Avenue in Charleston. During the search, officers located approximately 237 grams of methamphetamine hidden in the couch. Officers also located two firearms during the search. As part of the plea agreement, Houston admitted that he intended to distribute the methamphetamine seized by law enforcement.
Houston faces at least 10 years and up to life in federal prison when he is sentenced on April 26, 2018.
Assistant United States Attorney Stephanie S. Taylor is handling the prosecution. The plea hearing was held before United States District Judge John T. Copenhaver, Jr.
This case was brought as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Bank Teller Pleads Guilty to Conspiracy to Rob BankRead the Press Release
U.S. Attorney Duane A. Evans announced that ZOE WILLIAMS, age 25, has pleaded guilty to one count of Conspiracy to Commit Bank Robbery with a Firearm in violation of Title 18, U.S.C. Section 371. The defendant faces a maximum sentence of five (5) years in the Bureau of Prisons, three (3) years of supervised release, a fine of up to $250,000, and restitution to the victim bank in this case.
WILLIAMS admitted that she was working as a teller at the Chase Bank drive-up location at the intersection of Gentilly Boulevard and Elysian Fields Avenue in New Orleans in December of 2014, when she gave her boyfriend, Casey Johnson, and his associates information on how to rob the bank. On December 20, 2014, Casey Johnson acted as the get-away driver when his brother, Walter Johnson, and friend, Jay Lyons, entered the Chase Bank drive-up location at the intersection of Gentilly Boulevard and Elysian Fields Avenue and robbed the tellers at gunpoint of $196,715 in cash.
The U.S. Attorney wishes to thank the hard work of the FBI’s Violent Crime Unit in investigating this matter. Assistant United States Attorneys Myles Ranier and David Haller are in charge of the prosecution.
Bangor Man Pleads Guilty to Marijuana ConspiracyRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Nicholas Reynolds, 33, of Bangor, pleaded guilty yesterday in U.S. District Court to conspiring to manufacture, distribute, and possess with intent to distribute marijuana.
According to court records, during a period between October 2010 and August 2016, the defendant conspired with others to illegally manufacture and distribute marijuana. The defendant grew marijuana at a large, sophisticated indoor growing facility in Frankfort, Maine which he was told was an illegal medical marijuana grow. In May 2016, law enforcement officers executed a federal search warrant at the facility and recovered about 400 marijuana plants, 295 marijuana root balls, and paraphernalia used to manufacture and process marijuana. According to the search warrant affidavit, the defendant and his co-conspirators were not registered as medical marijuana caregivers with the Maine Department of Health and Human Services (DHHS), and the location of the facility was not reported to DHHS.
The defendant faces up to 20 years in prison, between three years and life of supervised release, and a $1,000,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the U.S. Drug Enforcement Administration.
Augusta Doctor Pleads Guilty to Drug DistributionRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Fred Gilliard, a/k/a “Dr. Gilliard,” age 76, of Augusta, Georgia, has entered a guilty plea in federal court in Columbia, to drug distribution, a violation of 21 U.S.C. § 841. United States District Judge J. Michelle Childs, of Columbia, accepted the guilty plea and will impose sentence after she has reviewed a presentence report prepared by the U.S. Probation Office. Following the guilty plea, United States Magistrate Judge Paige Jones Gossett denied Gilliard a bond, ordering he be detained pending sentencing.
Evidence presented at the change of plea hearing established that through the investigation into the Travelers of Murphy Village, located in North Augusta, the FBI and US Marshals Service learned that a doctor in the area was providing Travelers prescriptions for opioids and other controlled substances that were then being sold throughout Murphy Village. Investigative efforts identified the defendant, Dr. Gilliard, as the doctor. The defendant’s background revealed two federal criminal convictions, once for illegal distribution of drugs – as a result of that conviction the defendant had an agreement with the DEA about the proper distribution of drugs. Law enforcement interviews with patients revealed that the defendant prescribed them various types of drugs, often accompanied with a sexual proposition. Using one cooperating witness to buy opioids from a source of pills, law enforcement then approached the person selling opioids. The pill seller agreed to cooperate and explained that Dr. Gilliard would proposition her for sexual favors in exchange for prescriptions and that Dr. Gilliard would contact her at all hours of the night. A review of Dr. Gilliard’s phone records showed an abnormal pattern of contacting his female patients. The cooperating individual selling the pills began to record telephone calls with Dr. Gilliard. In the recordings, Dr. Gilliard requested sexual favors from the cooperating witness in exchange for prescriptions. On June 14, 2017, the cooperating seller of pills recorded a meeting with Dr. Gilliard at a restaurant off exit 5 in South Carolina. Dr. Gilliard recounted that he knew that the cooperator’s mother had sold the last set of pills that Dr. Gilliard had prescribed to the mother. Dr. Gilliard further discussed providing the witness with a prescription only if the cooperating witness would have sex with him and described how he now had to go back to his office to make up notes to justify the prescription – the prescription was for hydrocodone, a Schedule II controlled substance.
Ms. Drake stated the maximum penalty for drug distribution is imprisonment for 20 years and/or a fine of $500,000.
The case was investigated by agents of the FBI and the U.S. Marshals Service. Assistant United States Attorneys Jim May and Jay Richardson of the Columbia office are prosecuting the case.
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Another Convicted in “on the Rox” Tax ConspiracyRead the Press Release
HOUSTON – A local bar owner has entered a guilty plea to conspiring with others to defraud the United States by failing to pay taxes on income he received from vending machines located in the bars he owned, announced U.S. Attorney Ryan K. Patrick.
In the plea agreement filed in the record of the case, Thomas E. Johnson admitted he had partial ownership of multiple bars in the Houston area that operated under the name “On the Rox.” Johnson conspired with others to conceal the cash income from vending machines located in the bars from the IRS.
Johnson admitted he failed to report a total of $463,277 in income for tax years 2010, 2011 and 2012. His failure to pay taxes on this income resulted in a tax loss to the United States of $148,338.
Two others have been convicted in relation to the scam at “On the Rox.” Jerome Rivera pleaded guilty last week, while Mathew J. Mitchell entered his plea Dec. 8, 2017.
Johnson’s sentencing has been set for May 17, 2018, before Chief U.S. District Judge Lee H. Rosenthal. At that time, he faces up to five years in federal prison and a possible $250,000 maximum fine. Johnson was permitted to remain on bond pending that hearing.
IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Justin R. Martin is prosecuting the case.
Albuquerque Felon Sentenced to Prison for Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Cesar Rascon Sierra, 27, of Albuquerque, N.M., was sentenced today in Santa Fe, N.M., to 24 months in prison for being a felon in possession of a firearm. Sierra will be on supervised release for three years after completing his prison sentence.
The Bureau of Alcohol, Tobacco, Firearms and Explosives arrested Sierra on Feb. 14, 2017, on an indictment charging him with being a felon in possession of firearms and ammunition on Nov. 24, 2015, in Bernalillo County, N.M. According to the indictment, Sierra was prohibited from possessing firearms or ammunition because of his prior felony convictions for auto burglary, unlawful possession of a controlled drug with intent to distribute, and possession of a controlled drug without a tax stamp affixed.
On June 22, 2017, Sierra pled guilty to the indictment. In entering the guilty plea, Sierra admitted that he was in possession of a stolen pistol, a revolver, and multiple rounds of ammunition on Nov. 24, 2015, when police found him asleep and slumped over the steering wheel of his vehicle which was illegally parked facing north in a southbound lane with the car engine running. Sierra acknowledged that he was prohibited from possessing firearms or ammunition on Nov. 24, 2015, because of his prior felony convictions.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department and was prosecuted by Assistant U.S. Attorney Rumaldo R. Armijo.
73 Year Old Pennsylvania Woman Sentenced to 21 Months in Prison for Wire FraudRead the Press Release
FOR IMMEDIATE RELEASE Contact ELIZABETH MORSE
www.justice.gov/usao/md at (410) 209-4885
Greenbelt, Maryland – On January 26, 2018, United States District Judge Paula Xinis sentenced Margie Lou Franz, age 73, of Warfordsburg, Pennsylvania to 21 months in prison, followed by three years of supervised release, for wire fraud. Xinis also ordered Franz to pay $970,964.76 in restitution.
The sentence was announced by Acting United States Attorney for the District of Maryland Stephen M. Schenning; and Rene Febles, Deputy Inspector General for Investigations for the Federal Housing Finance Agency, Office of Inspector General.
According to her plea agreement, Franz managed the day-to-day operations of a title company (Title Company A) located in Laurel, Maryland where she prepared paperwork for settlements (including HUD-1s and disbursement statements), conducted settlements, controlled the escrow account, and conducted banking transactions.
From at least June 2013 through November 2014, instead of disbursing funds as required by the HUD-1s for those real estate transactions, Franz transferred money through wires or checks to herself and other individuals not listed on the HUD-1s, paid outstanding debts on prior transactions for which Franz had not made proper disbursements, or paid off loans to individuals from whom Franz had previously borrowed money to cover shortfalls in Account 3542. Franz caused at least $970,964.76 in combined losses.
In June 2013, Franz used the Title Company A to handle the closing of her house in Annapolis, Maryland. At the time of the sale of the property, there were three liens on the property, however Franz only disclosed one of the loans. At the time of the closing, the buyers believed that the property was only encumbered by one lien that would be paid off as part of the transaction as reflected on the HUD-1. The disbursement statement, prepared by Franz, also reflected that a payment was made to the bank.
On June 12, 2013, Franz caused a wire of approximately $502,949.51 to be sent from the buyer’s lender to the Title Company A, with the understanding that a portion of the loan from the bank was supposed to be used to pay off the existing lien on the property. Franz never actually disbursed any money from Title Company A’s escrow account. Instead, Franz issued a $100,000 check to her husband and a $77,724.65 check jointly to her and her husband.
From June 2013 through January 2015, Franz continued to make monthly payments on the existing lien on the property held by Citibank to hide the fact that the lien had not been paid off when the buyers bought the property. By January 2015, however, Franz could no longer keep up with the payments and the bank sent a foreclosure notice to buyers.
In October 2014, an individual in Derwood, Maryland hired Title Company B to refinance their home loan. As part of the closing, Title Company B was to pay off five existing liens, held by three separate banks. In October 2014, Franz contacted Employee 1 at Title Company B and instructed Employee 1 to wire a large portion of the proceeds from the individuals refinancing to Title Company A’s escrow account and then permit Franz to handle the disbursements. This arrangement was contrary to the instructions in the HUD-1 settlement statement for the refinancing. Neither Franz nor Employee 1 sought Individual 1’s permission for this new arrangement. Franz told Employee 1 that Franz needed the money in Title Company A’s escrow account for a few days to cover some costs and that Franz then would pay the liens held by CitiMortgage and Chase.
Employee 1 made two separate wire transfers from Title Company B’s escrow account to Title Company A’s escrow account. On October 6, 2014, Franz caused Title Company B to wire $328,277.36 from a Virginia bank to a North Carolina account held by Title Company A. On October 23, 2014, Franz caused Title Company B to wire $121,751.67 from another Virginia bank to a North Carolina account held by Title Company A. Franz did not pay off the existing liens on Individual 1’s properties. Instead, Franz paid off some of the existing debts on prior transactions and paid off some loans Franz had taken for prior shortfalls.
Acting United States Attorney Stephen M. Schenning praised Federal Housing Finance Agency, Office of Inspector General for their work in the investigation. Mr. Schenning thanked Assistant United States Attorney’s Kristi O’Malley and Kelly O’Connell Hayes, who prosecuted the case.
Monday 29 January 2018
Westbank Drug Dealer Pleads GuiltyRead the Press Release
U.S. Attorney Duane A. Evans announced that TOSH TOUSSAINT, age 27, has pleaded guilty to one count of possession with the intent to distribute cocaine base, in violation of Title 18, United States Code, Section 841(b)(1)(C), and one count of possession and use of a firearm in furtherance of drug trafficking, in violation of Title 18, United States Code, Section 924(c).
TOUSSAINT faces a sentence of up to 20 years in the Bureau of Prisons, at least three years of supervised release, and a fine of up to $1,000,000 as to the drug trafficking crime in Count One, and a sentence of at least five (5) years up to life in the Bureau of Prisons, consecutive to any other sentence, five years of supervised release, and a fine of up to $250,000 for the firearm crime in Count Two.
Sentencing for TOUSSAINT has been set for May 17, 2018 at 10:00 a.m. before Judge Nannette Jolivette Brown.
On November 13, 2013, members of the Jefferson Parish Sheriff’s Office and the New Orleans the FBI’s Gang Task Force arrested TOUSSAINT when they found him in possession of approximately 10 grams of cocaine base (crack cocaine) and Taurus 9mm semi-automatic handgun.
The U.S. Attorney wishes to thank the hard work of the FBI’s New Orleans Gang Task Force and the Jefferson Parish Sheriff’s Office in investigating this matter. Assistant United States Attorney Myles Ranier is in charge of the prosecution.
West Columbia Man Pleads to Federal Drug ChargeRead the Press Release
Columbia, South Carolina ---- United States Attorney Beth Drake stated that Harry Lee Goodwin, age 44, of West Columbia, pled guilty today in federal court to possessing heroin and “crack” cocaine with intent to distribute, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C). United States District Judge J. Michelle Childs, of Columbia, accepted the guilty plea and will impose sentence after she has reviewed the presentence report, which will be prepared by the United States Probation Office.
Evidence presented in court established that in April 2017, a confidential informant, acting under the supervision and direction of West Columbia Police Department agents, made three controlled buys of heroin from Mr. Goodwin at his home on Augusta Street.
As a result of the controlled buys, agents executed a search warrant at the home on April 13, 2017. Agents seized approximately $1500 in cash, including a $20 bill used in one of the earlier controlled purchases. Agents also recovered eight (8) foil packages containing heroin, as well as a small amount of “crack” cocaine, digital scales, and other drug paraphernalia.
Goodwin admitted to agents that he sold approximately 30 – 40 bags of heroin each day, between 6 a.m. and noon, and made between $1200- $1500 each day. After noon, he then went to Columbia to continue selling drugs from another location.
Goodwin faces a maximum of 20 years, a fine of $1,000,000, and at least 3 years of supervised release.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the West Columbia Police Department and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Nancy C. Wicker of the Columbia office handled the case.
Project Ceasefire is South Carolina’s continued application of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
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United States Obtains $16.2 Million Judgment Against MRI Provider for Submitting False ClaimsRead the Press Release
Wilmington, Del. – David C. Weiss, Acting U.S. Attorney for the District of Delaware, announced today that the U.S. District Court for the District of Delaware entered judgment in the amount of $16,223,091.38 against Orthopaedic and Neuro Imaging LLC (ONI) for submitting false claims for Medicare reimbursement. Under the terms of the judgment, ONI’s owner, Richard Pfarr, is jointly and severally liable for $6,125,947.13.
ONI operates independent diagnostic testing facilities (IDTFs) in Delaware and Maryland. The Court granted the United States’ request for default judgment on its complaint, which alleged that ONI and Pfarr knowingly submitted false claims to Medicare by administering contrast dye during magnetic resonance imaging (MRI) scans on patients without proper supervision by a physician. Contrast dye is a chemical that is injected intravenously into the body in order to make certain tissues more clearly visible on an MRI.
"The U.S. Attorney’s Office for the District of Delaware is committed to combatting health care fraud and protecting Medicare beneficiaries using all available remedies,” said Acting U.S. Attorney Weiss. “This case exemplifies the utility of the False Claims Act to deter fraudulent conduct, protect patient safety, and save taxpayer dollars.”
“The FBI, along with our partners, will work aggressively to combat healthcare fraud utilizing all tools available to the agencies charged with rooting out fraud,” said Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Division. “We will continue to work tirelessly to prevent these programs from becoming targets and fight fraud wherever we find it. Medical Providers who take shortcuts to enrich themselves in delivering patient care will be held accountable.”
The original lawsuit was filed by Robin White, a former employee of ONI. The lawsuit was filed under the qui tam provisions of the False Claims Act, which permit private parties to sue on behalf of the United States for false claims for government funds, and to receive a share of any recovery. The False Claims Act permits the government to intervene in such a lawsuit, as was done in this case. Under the terms of the Court’s judgment, Ms. White will receive an 18-percent share of the recovery.
The matter was investigated by the U.S. Attorney's Office for the District of Delaware, the U.S. Department of Health and Human Services Office of Inspector General, and the FBI. Assistant U.S. Attorneys Jennifer L. Hall and Laura Hatcher handled the case on behalf of the United States.
The case is captioned United States ex rel. White v. Orthopaedic and Neuro Imaging LLC, No. 13-1109-RGA.
United States Attorney's Office Provides Speaker at ADA Workshop for the Deaf & Hard of Hearing CommunityRead the Press Release
Greenville, South Carolina---- United States Attorney Beth Drake stated today that the United States Attorney’s Office continued its firm commitment to upholding the Americans with Disabilities Act (ADA). The U.S. Attorney’s Office provided the presenter on an ADA Workshop for the Deaf and Hard of Hearing Community.
The event was sponsored by the South Carolina Association of the Deaf, Inc. (SCAD) and the South Carolina Registry for Interpreters for the Deaf (SCRID). SCAD is the statewide non-profit organization that focuses on promoting equal treatment toward deaf and hard of hearing citizens in education, employment, legislation, healthcare, and other fields pertaining to the Deaf and Hard of Hearing citizens of South Carolina. SCRID provides local forums and an organizational structure for the continued growth and development of the profession of signed language interpretation. Lead organizers for the event included Ms. Anita M. Steichen-McDaniel, SCAD’s Executive Director, and Ms. Susie Spainhour, SCRID President. This event was held at the University Center of Greenville on Saturday, January 27, 2018. AUSA Rob Sneed provided an overview of federal disability laws and focused on those aspects of the ADA of great interest to members of the deaf and hard of hearing community.
The ADA requires that covered entities (State and local governments; businesses and nonprofit organizations that serve the public) communicate effectively with people who have communication disabilities. The goal is to ensure that communication with people with these disabilities is equally effective as communication with people without disabilities.
According to U.S. Attorney Beth Drake, community outreach efforts such as this continue the U.S. Attorney’s and DOJ’s long standing commitment to Project Civic Access, which is a wide-ranging effort to ensure that counties, cities, towns, and villages comply with the ADA by eliminating physical and communication barriers that prevent people with disabilities from participating fully in community life. The training also supports her office’s ongoing support of the DOJ’s Barrier-Free Health Care Initiative, which is an initiative that will include effective communication for people who are deaf or have hearing loss, physical access to medical care for people with mobility disabilities, and equal access to treatment for people who have HIV/AIDS.
The U.S. Attorney’s Office for the District of South Carolina enforces federal civil rights laws, including the Fair Housing Act, Equal Credit Opportunity Act, Religious Land Use and Institutionalized Persons Act, Servicemembers Civil Relief Act, Americans with Disabilities Act, Title VII of the Civil Rights Act of 1964, and the Uniformed Services Employment and Reemployment Rights Act. Civil remedies under these statutes include monetary penalties, injunctions, civil judgments and more.
To learn more about the ADA and other laws protecting the rights of people with disabilities, log on to www.ada.gov/ta-pubs-pg2.htm or call the Justice Department's toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TDD). The U.S. Attorney’s Office Civil Rights Program webpages are located at https://www.justice.gov/usao-sc/civil-rights.
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United States Attorney's Office Issues 2017 Annual ReportRead the Press Release
BATON ROUGE, LA – Acting United States Attorney Corey R. Amundson announced today the release of the 2017 Annual Report for United States Attorney’s Office for the Middle District of Louisiana.
The report is available on the USAO’s website at /media/932721/dl?inline.
The annual report highlights some of the office’s public efforts over the past year to ensure fair justice, keep our communities safe and secure, and fairly represent the interests of the federal government in legal matters, among other things.
Two Servicemembers Sentenced to Federal Prison for Attempting to Have Sex with a MinorRead the Press Release
In San Antonio today, Senior U.S. District Judge Royce Lamberth sentenced Mark Antonio Pazmino, a 30–year-old former U.S. Army member assigned to Joint Base San Antonio—National Security Agency (JBSA-NSA), to 121 months in federal prison followed by 20 years of supervised release for attempting to have sex with a minor announced United States Attorney John F. Bash.
On May 16, 2017, Pazmino pleaded guilty to one count of attempted coercion and enticement of a minor. According to court records, in 2016, Pazmino responded to a personal ad from an individual whom he believed was a 14-year-old female residing on Joint Base San Antonio-Lackland, TX (JBSA-Lackland). Pazmino stated multiple times through the chat conversation, as well as a recorded telephone conversation, that he wanted to engage in sexual activity with the minor female. Unbeknownst to Pazmino, the 14-year-old he was communicating with was actually an undercover agent with Air Force Office of Special Investigations (AFOSI). Federal agents arrested Pazmino on July 5, 2016, when he showed up at a pre-arranged meeting location on JBSA-Lackland. He has remained in federal custody since his arrest.
In a separate, but related matter, on January 24, 2018, Chief United States District Judge Orlando L. Garcia sentenced 28-year-old Mark Richard Hardin, an enlisted Navy member assigned to Joint Base San Antonio—Fort Sam Houston (JBSA-FSH), to 120 months in federal prison followed by five years of supervised release. On October 12, 2017, the former U.S. Navy medical technician at San Antonio Military Medical Center (SAMMC) pleaded guilty to one count of attempted coercion and enticement of a minor. By pleading guilty, Hardin admitted that in February 2016, he began text messaging with an individual he believed was a 14-year-old female residing on JBSA-Lackland for the purposes of meeting and ultimately engaging in sexual intercourse with her. Unbeknownst to Hardin, the 14-year-old was an undercover AFOSI agent. On February 25, 2016, federal agents arrested Hardin on JBSA-Lackland. He has remained in federal custody since his arrest.
AFOSI, Naval Criminal Investigative Service (NCIS) and FBI special agents conducted this investigation. Assistant United States Attorney Sarah Wannarka prosecuted both defendants on behalf of the Government.
These cases were brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Two Miami-Area Men Sentenced for $1.8 Million Robbery of Armored TruckRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell today sentenced Diosme Fernandez Hano (44, Hialeah) to 10 years and 1 month in federal prison and Reinaldo Arrastia-Cardoso (48, Hialeah) to 10 years in federal prison for armed robbery and conspiracy to commit armed robbery. A federal jury found Hano and Arrastia-Cardosowere guilty on October 31, 2017.
According to evidence presented at trial, on November 30, 2009, Hano and Arrastia-Cardoso committed an armed robbery of a Brink’s armored truck outside of the Fifth Third Bank on Daniels Parkway and Treeline Avenue in Fort Myers. Almost $1.8 million was stolen during the robbery.
This case was investigated by the Federal Bureau of Investigation, the Lee County Sheriff’s Office, the Florida Department of Law Enforcement, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Customs and Border Protection, U.S. Citizenship and Immigration Services, the Tampa Police Department, and the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Jeffrey F. Michelland and Simon R. Eth.
Two Arrested in Major Antiquities TheftRead the Press Release
Richard Steven Johnson, 41, of Rio Linda, California, and Jarred Alexander Goldman, 32, of Palm Beach Gardens, were arrested today, after being charged with conspiring to steal and stealing a 17th century gold bar on or about August 18, 2010, from the Mel Fisher Maritime Heritage Museum in Key West.
Benjamin G. Greenberg, United States Attorney, Southern District of Florida, Robert F. Lasky, Federal Bureau of Investigation (FBI), Miami Field Office, and Donald J. Lee, Jr., Chief, Key West Police Department, made the announcement.
Johnson will make his initial appearance in Sacramento, California, later today. Goldman will make his initial appearance before U.S. Magistrate Judge Lurana S. Snow, in Key West, on January 30, 2018, at 9:30 a.m.
The defendants are accused of driving to Key West from West Palm Beach on or about August 18, 2010, and entering the Mel Fisher Maritime Heritage Museum. It is alleged that Goldman then stood guard as a lookout to enable Johnson to steal the gold bar. Johnson then allegedly removed the gold bar from its display case at the museum and both defendants then drove back to West Palm Beach. The gold bar has not been recovered.
Mr. Greenberg commended the investigative efforts of the FBI and the Key West Police Department. The case is being prosecuted by Assistant U.S. Attorney Daniel J. Marcet.
An indictment is only an accusation, and a defendant is presumed innocent unless and until proven guilty.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Trio Pleads Guilty to Heroin Distribution ConspiracyRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces that Eric Massey (41) and Meldon Foster (44), both of Jacksonville, have pleaded guilty to conspiring to distribute 100 grams or more of heroin. Their co-defendant, Jaris Anacreon (33, Miami) pleaded guilty to the same offense on December 21, 2017. All three men face a minimum mandatory penalty of 5 years, up to 40 years, in federal prison.
According to their plea agreements, after selling an ounce of heroin to a confidential informant (CI), Massey introduced the CI to Foster, his source of supply, and told the CI that Foster had large amounts of heroin for sale. Foster and Massey later provided the CI with another ounce of what was sold as heroin, but which laboratory testing showed was carfentanil (an analog of the synthetic opioid fentanyl). In the period that followed, Foster sold the CI more heroin and discussed the possibility of larger deals. Foster eventually introduced the CI to Anacreon and bragged that he and Anacreon had access to significant quantities of both cocaine and heroin. The CI brokered the purchase of five ounces of heroin from Anacreon and Foster. While Anacreon was on the way to the deal with the drugs, law enforcement conducted a traffic stop, arrested Anacreon, and seized approximately five ounces of the heroin.
This case was investigated by the Drug Enforcement Administration, the Fernandina Beach Police Department, the Nassau County Sheriff’s Office, and the Florida Highway Patrol. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
Three Defendants Sentenced for Their Respective Roles in Trafficking Guns from Nevada to Oakland, CaliforniaRead the Press Release
OAKLAND – Richard Straight, Jenna Jeanne Allec, and Kenneth Lee Kemp were each sentenced today for their respective roles in an interstate firearms trafficking scheme announced Acting United States Attorney Alex G. Tse and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Special Agent in Charge Jill Snyder. The sentences were handed down by the Honorable Haywood S. Gilliam, United States District Judge, following the entry in September of 2017 by each defendant of a guilty plea.
On April 20, 2017, a federal grand jury indicted Straight, 27, of Oakland; Allec, 26, of Oakland; Kemp, 32, of Elko, Nev.; and others in a Second Superseding Indictment for their respective roles in trafficking scores of firearms from Nevada to Oakland, Calif. Straight, Allec, and Kemp each entered into plea agreements in which they acknowledged committing crimes related to the interstate gun trafficking scheme.
According to his plea agreement, Straight, admitted that between March of 2015 and May of 2017, he engaged in the business of dealing firearms without a license. Straight admitted he acted as the middleman for firearms purchases in Nevada and that his conduct was intended to assist buyers who travelled from outside the state for the purpose of firearms trafficking. According to his plea agreement, Straight also admitted he was responsible for the sale of about 39 firearms. Straight admitted buyers paid him for the price of the firearm plus, on average, an extra $50 to $100. Straight pleaded guilty to one count of dealing in firearms without a license, in violation of 18 U.S.C. § 922(a)(1)(A), and one count of aiding and abetting traveling interstate to promote illegal firearms trafficking, in violation of 18 U.S.C. § § 924(n) and 2. Today, Judge Gilliam sentenced Straight to 42 months in prison and three years of supervised release.
Allec admitted that she, too, engaged in the business of dealing in firearms without a license. According to her plea agreement, she purchased firearms in Nevada from licensed firearm dealers and then sold the firearms to others. Allec admitted that she sold about 18 firearms during the period of October 2015 to June of 2016 earning approximately $50 to $100 per firearm. Allec pleaded guilty to one count of dealing in firearms without a license, in violation of 18 U.S.C. § 922(a)(1)(A). Today, Judge Gilliam sentenced Allec to 48 months of probation with a special condition of 24 months of home confinement and 200 hours of community service.
According to his plea agreement, Kemp admitted he engaged in a conspiracy to deal in firearms without a license. Specifically, he agreed to engage in an illegal operation to traffic firearms from the Reno, Nev. area to Oakland, Calif. He admitted he purchased firearms in Nevada and sold firearms to others who lived in California or who could provide the firearms to others in California. Kemp admitted he trafficked approximately 21 firearms. Kemp pleaded guilty to one count of conspiracy to deal in firearms without a license, in violation of 18 U.S.C. § 371. Judge Gilliam sentenced Kemp to 14 months in prison and three years of supervised release.
In addition to these defendants, on November 27, 2017, Judge Gilliam sentenced Edgar de La Cruz for his role in the scheme, as well as his other crimes of Hobbs Act robbery, in violation of 18 U.S.C. §1951, and use of a firearm in furtherance of a crime of violence, in violation of 18 U.S.C. §924(c). Judge Gilliam sentenced de La Cruz to 120 months in prison and five years of supervised release.
This prosecution is the result of an investigation by the ATF Crime Gun Intelligence Center, San Francisco Field Division (SFFD). Additional assistance was provided by the Reno and Sparks Police Departments.
Tennessee Woman Sentenced to Six Years in Prison for Stolen ID Refund FraudRead the Press Release
An Antioch, Tennessee, woman was sentenced to six years in prison for wire fraud and aggravated identity theft, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Donald Q. Cochran for the Middle District of Tennessee.
Monique Ellis was convicted following a jury trial in October 2017 of wire fraud and aggravated identity theft. According to documents filed with the court and evidence presented at trial, in January and February 2012, Monique Ellis used stolen IDs, including those of prisoners held by the Alabama Department of Corrections, to file tax returns with the Internal Revenue Service (IRS) seeking fraudulent refunds. Ellis directed the fraudulently obtained refunds to bank accounts that she controlled, causing a tax loss of $700,933.20.
In addition to the term of imprisonment, U.S. District Court Judge Gershwin A. Drain ordered Ellis to serve three years of supervised release. Restitution will be determined at a later date.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Cochran thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Henry Leventis and Trial Attorney Lauren Castaldi of the Tax Division, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Sioux Falls Man Charged with Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Ron Parsons announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
David Marrowbone, age 54, was indicted on January 17, 2018. He appeared before U.S. Magistrate Judge Mark A. Moreno on January 22, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between October 23, 2017, and November 25, 2017, Marrowbone, a person required to register under the Sex Offender Registration and Notification Act, did fail to register and update his registration.
The charge is merely an accusation and Marrowbone is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Marrowbone was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Shreveport man pleads guilty to illegal possession of pistol after being arrested for feloniesRead the Press Release
SHREVEPORT, La. – United States Attorney Alexander C. Van Hook announced that a Shreveport felon pleaded guilty last week to illegally possessing a pistol after being convicted of multiple felonies.
Gabriel Jones, 36, of Shreveport, pleaded guilty Friday before U.S. Magistrate Judge Mark L. Hornsby to one count of possession of a firearm by a convicted felon. The plea will become final after it is accepted by U.S. District Judge S. Maurice Hicks Jr. According to the guilty plea, Shreveport police were executing a warrant for someone else on August 7, 2018 at Jones’ residence. During a search of the residence, police found marijuana in plain view, and they found a Ruger, Model P85, 9 mm caliber pistol, crack cocaine and additional marijuana in the back bedroom closet. The pistol had a 30 round extended magazine inside it. The other occupants of the residence denied ownership of the gun and said it belonged to Jones. Police also searched Jones’ cell phone and found images and data showing the pistol belonged to him. Jones was convicted on May 24, 2010 of aggravated flight from an officer and attempted possession of a firearm by a convicted felon. He was also convicted on December 6, 2004 in Caddo Parish of possession of marijuana, second offense,
Jones faces up to 10 years in prison, three years of supervised release and a $250,000 fine. The court set a sentencing date of May 10, 2018.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safe for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Session announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The ATF, U.S. Marshals Service and Shreveport Police Department conducted the investigation. Assistant U.S. Attorney J. Aaron Crawford is prosecuting the case.
Shreveport felon pleads guilty to possessing pistol while still on supervised releaseRead the Press Release
SHREVEPORT, La. – United States Attorney Alexander C. Van Hook announced that a Shreveport man pleaded guilty last week to possessing a pistol even though he was still on supervised release and had been convicted of several felonies.
Derrick D. Morris, 36, of Shreveport, pleaded guilty Friday before U.S. District Judge Elizabeth E. Foote to one count of possession of a firearm by a convicted felon. According to the guilty plea, Morris was arrested on August 4, 2017 at a gas station in Shreveport on a warrant for violating his supervised release. Officers found Morris with a Glock, Model 26, 9 mm pistol in the front seat area of the car. Morris was convicted in 2003 for possession of a firearm by a convicted felon. He additionally has two prior felony convictions by the State of Louisiana.
Morris faces up to 10 years in prison, three years of supervised release and a $250,000 fine. The court set a sentencing date of March 22, 2018.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safe for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Session announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The ATF, U.S. Marshals Service and Shreveport Police Department conducted the investigation. Assistant U.S. Attorney James G. Cowles Jr. is prosecuting the case.
Seven Defendants Plead Guilty to Drug Trafficking and Firearms OffensesRead the Press Release
Abingdon, VIRGINIA – Seven individuals who conspired to distribute crystal methamphetamine in Southwest Virginia from sources in Tennessee and Kentucky have pleaded guilty to federal drug trafficking and firearms charges in the United States District Court in Abingdon, United States Attorney Rick A. Mountcastle and Virginia Attorney General Mark R. Herring announced.
Jeremy Rick Sturgill, 41, of Jonesville, Virginia, pleaded guilty January 24, 2018, to conspiring to distribute more than 50 grams of methamphetamine; maintaining a place for the purpose of manufacturing, distributing, and using methamphetamine; and possessing a firearm in furtherance of a drug trafficking offense. Tony Lynn Ketron, 27, of Church Hill, Tennessee, pleaded guilty January 24, 2018, to conspiring to distribute more than 50 grams of methamphetamine, two counts of distributing methamphetamine, possessing a firearm in furtherance of a drug trafficking offense, and possessing a firearm while being a prohibited person.
In addition, a number of co-conspirators have previously pleaded guilty as part of the case. Todd Houston Conyer, 29, of Pennington Gap, Virginia, pleaded guilty to conspiring to distribute more than 5 grams of methamphetamine. Leslie Ann Clasby, 42, of Jonesville, Virginia, pleaded guilty to conspiring to distribute more than 5 grams of methamphetamine. Jason Dale Moore, 36, of Jonesville, Virginia, pleaded guilty to conspiring to distribute more than 5 grams of methamphetamine. William Benjamin Brewer, 36, of Jonesville, Virginia, pleaded to conspiring to distribute more than 5 grams of methamphetamine. Kristina Karen Burton, 44, of Jonesville, Virginia, pleaded guilty to conspiring to distribute more than 5 grams of methamphetamine.
According to evidence presented at various plea hearings by Virginia Assistant Attorney General and Special Assistant United States Attorney Suzanne Kerney-Quillen, and in court documents, the defendants engaged in a conspiracy to distribute and possess with the intent to distribute crystal ice methamphetamine from April 1, 2016 - November 7, 2016. Evidence presented during the guilty plea hearings demonstrated that the conspiracy involved over 50 grams of crystal ice methamphetamine, acquired from multiple sources in Tennessee and Kentucky, and several firearms. Numerous undercover purchases of crystal ice were conducted by the Southwest Virginia Drug Task Force at Sturgill’s residence in Jonesville, Virginia, where much of the activity concerning the conspiracy occurred.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Lee County Sheriff’s Office, the Scott County Sheriff’s Office, the Virginia State Police, the Jonesville Police Department, and the Southwest Virginia Drug Task Force investigated the case. Assistant United States Attorney Randy Ramseyer prosecuted the case for the United States involving Leslie Ann Clasby. Special Assistant United States Attorney M. Suzanne Kerney-Quillen, a Virginia Assistant Attorney General assigned to the Attorney General’s Major Crimes and Emerging Threats Section, prosecuted the case for the United States involving all other defendants.
Sanford Man Pleads Guilty to Transporting Child PornographyRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Rusty Hood, 38, of Sanford, Maine, pled guilty today in U.S. District Court to transporting child pornography.
According to court records, in May 2016, Hood chatted online with an individual in Ohio. During the chat, the two men exchanged images of minors engaged in sexually explicit conduct. Hood claimed during the chat that he was interested in babies, and that he had engaged in sexual activity with a young girl.
Hood faces between five and 20 years in prison, between five years and life on supervised release and a $250,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Maine State Police Computer Crimes Unit and the Sanford Police Department.
Rapid City Woman Indicted for Defrauding the Rapid City Club for BoysRead the Press Release
United States Attorney Ronald A. Parsons, Jr. announced that a Rapid City, South Dakota, woman was charged in federal district court with 20 counts of Wire Fraud and 5 counts of Money Laundering.
Olivia Kuehner, age 48, was charged on January 23, 2018. She appeared before U.S. Magistrate Judge Daneta Wollmann on January 26, 2018, and pleaded not guilty to the charges. The maximum penalty on each count upon conviction is 20 years of imprisonment and/or a $250,000 fine, 3 years of supervised release, and a $100 assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The indictment alleges that Kuehner, between September 2012 and June 2017, while employed as the accounting manager for the Rapid City Club for Boys, Inc. ("Club for Boys"), devised a scheme to defraud the Club for Boys of more than $120,000.00. The indictment alleges Kuehner embezzled money belonging to the Club for Boys by making fraudulent payments to herself, family members, and a nominee entity she controlled, and then omitted the fraudulent payments from the Club for Boys’ accounting records or misclassified the payments to make it appear vendors or other employees had been paid. After receiving the fraudulently obtained funds, Kuehner transferred a portion of the funds to other bank accounts she controlled in order to conceal the nature, source and ownership of the embezzled proceeds.
The charges are merely an accusation and Kuehner is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Internal Revenue Service Criminal Investigation, the Federal Bureau of Investigation, and Rapid City Police Department. Assistant United States Attorney Benjamin Patterson is prosecuting the case.
Kuehner was detained pending a hearing on Monday, January 29, 2017. A trial date has not been set.
Quebec Man Pleads Guilty to Smuggling over 100 Handguns from Vermont to QuebecRead the Press Release
The Office of the United States Attorney for the District of Vermont stated today that Alexis Vlachos, 40, of Montreal, Quebec, pled guilty to two counts relating to the smuggling of over 100 handguns from Vermont to Quebec. Specifically, Vlachos pled guilty before United States District Judge William K. Sessions III to conspiring to export, and actually exporting, firearms from the United States to Canada, without a license, in violation of the Arms Control Export Act.
As part of his guilty plea, Vlachos agreed to the following facts: From July 2010 to April 2011, Vlachos and other persons, including defendants Annette Wexler and Jaime Ruiz, executed a plan to smuggle over 100 handguns, purchased in Florida, to Quebec, Canada, by way of northern Vermont and northeast New York. As part of this conspiracy, Annette Wexler and another coconspirator purchased these handguns from multiple federally licensed firearms dealers in the Tampa, Florida area. At the time of purchasing these firearms at the gun stores, Wexler and a coconspirator made multiple misrepresentations about the nature of these purchases on forms required by the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
After purchasing these firearms, Annette Wexler, Jaime Ruiz, and another coconspirator transported these firearms to Quebec through northeastern Vermont and northeastern New York. As part of the conspiracy, Vlachos would usually take custody of the firearms in Quebec, where he sold many of them.
Some of the firearms smuggled into Quebec were first brought to the Haskell Free Library in Derby Line, Vermont by Annette Wexler and Jaime Ruiz. The Haskell Free Library building straddles the international border of Derby Line, Vermont and Stanstead, Quebec.
On at least two occasions, in about March of 2011, Annette Wexler and Jaime Ruiz worked together to stash several firearms contained in small backpacks inside the trashcan of the library bathroom. Wexler then coordinated with Vlachos, who had entered the library from Quebec, to retrieve the firearms from the bathroom. Vlachos then transported the firearms to Quebec, where he sold many of them.
In April 2011, a coconspirator in Florida purchased thirty-four firearms from a federally licensed firearms dealer in the Tampa, Florida area. Vlachos and Wexler then drove these guns to a remote section of northeastern Vermont near Lake Wallace. Vlachos hiked these firearms across the international border into Quebec.
This conspiracy involved the smuggling of at least 104 handguns from the United States to Canada. Neither Vlachos, nor any of the others involved in these offenses, obtained a license from the United States Department of State prior to exporting these handguns to Canada.
Annette Wexler previously pled guilty to conspiring to make false statements to licensed gun dealers and unlawful exportation. On July 25, 2017, United States District Judge J. Garvan Murtha sentenced Wexler to time-served and two years of supervised release. Ruiz also pled guilty to two offenses relating to this smuggling conspiracy but, due to his death by illness, the charges against him were dismissed.
Vlachos was originally charged with these offenses in January 2015 but the process of extraditing him to the United States took over two years to complete. Vlachos now faces a maximum possible term of imprisonment of twenty years. However, Judge Sessions will determine the actual sentence pursuant to the advisory federal sentencing guidelines and the federal statutory sentencing factors. The sentencing is scheduled for May 7, 2018.
This case is being prosecuted by Assistant U.S. Attorney Joseph Perella. Vlachos is represented by Paul Volk, Esq. of Burlington. This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the United States Border Patrol, and Homeland Security Investigations of the Department of Homeland Security. In addition, the Royal Canadian Mounted Police and the Surete du Quebec provided assistance in this investigation.
Prior Sex Offender Pleads Guilty to Child Sexual Exploitation, Illegal FirearmRead the Press Release
SPRINGFIELD, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Noel, Mo., sex offender pleaded guilty in federal court today to charges related to child sexual exploitation and illegally possessing firearms.
Raymond Adair, 58, of Noel, pleaded guilty before U.S. Magistrate Judge David P. Rush to one count of traveling across state lines to engage in illicit sexual conduct and one count of being an unlawful user of a controlled substance in possession of firearms.
Adair, a registered sex offender, was previously convicted in Colorado of attempted second-degree kidnapping of a minor and two counts of indecent exposure to a minor.
By pleading guilty today, Adair admitted that he traveled from Missouri to Arkansas on May 9, 2016, to engage in illicit sexual conduct. Bentonville, Ark., police officers received two separate complaints on that day of Adair exposing himself to children walking home from school. One of the children was walking home from a school bus stop, according to the plea agreement, and investigators obtained images of Adair’s vehicle from the school bus’s surveillance cameras.
On May 11, 2016, law enforcement officers executed a search warrant at Adair’s residence and he was arrested. During the search, officers found an AR-15 rifle, a Marlin rifle, a Ruger rifle, and approximately 12 and a half pounds of marijuana.
Under federal statutes, Adair is subject to a sentence of up to 70 years in federal prison without parole. Under the terms of today’s plea agreement, Adair must pay a fine of $150,000. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Bentonville, Ark., Police Department and the McDonald County, Mo., Sheriff’s Department.
Press Conference Lumberton, NCRead the Press Release
MEDIA ADVISORY
WHEN: Tuesday, January 30, 2018 at 2:30 pm
WHERE: Lumberton Police Department
Goodson Conference Room
1305 Godwin Avenue
Lumberton, NC 28358
Re: Suspects in PNC Bank Robbery Update
RALEIGH – The United States Attorney’s Office announces a press conference to discuss the cases against 4 suspects who shot at 8 patrol cars after robbing PNC Bank in Lumberton, North Carolina on January 23, 2018. Additionally, a 5th suspect has been charged related to the case.
The following law enforcement leaders are scheduled to join United States Attorney Robert J. Higdon, Jr. at the event: Lumberton Police Chief Michael McNeill and Robeson County Sheriff Kenneth Sealey.
Credentialed members of the media are invited to attend. For additional information please e-mail Don Connelly at [email protected]. Please RSVP your intentions to attend the event.
Philadelphia Man Admits Role in Scheme to Steal and Cash Postal Money OrdersRead the Press Release
CAMDEN, N.J. – A Philadelphia, Pennsylvania, man today admitted his role in fraudulently cashing stolen U.S. Postal Service money orders, resulting in more than $22,000 in losses, U.S. Attorney Craig Carpenito announced.
Anthony J. Bell, 38, pleaded guilty before U.S. District Judge Joseph H. Rodriguez to an information charging him with one count of transmitting and presenting unlawfully issued U.S. Postal Service money orders with intent to defraud the United States.
According to the documents filed in this case, other cases, and statements made in court:
Bell admitted that a former U.S. Postal Service employee, Marc. E Saunders, 39, of Sicklerville, New Jersey, provided Bell with stolen money orders and told him to recruit others to cash them. Bell admitted that he recruited individuals to cash the money orders and paid them a small fee, while keeping the rest of the money from the fraudulently cashed money orders for Saunders and himself. Bell also admitted he recruited an individual in York, Pennsylvania, to cash the money orders and paid the individual a small fee, keeping the rest of the money from the fraudulently cashed money orders for himself.
The charge for transmitting and presenting unlawfully issued U.S. Postal Service money orders carries a maximum penalty of five years in prison and $250,000 fine. Sentencing is scheduled for May 2, 2018.
U.S. Attorney Carpenito credited special agents of the U.S. Postal Inspection Service, under the direction of Executive Special Agent in Charge Kenneth Cleevely of the Eastern Area Field Office with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Alyson M. Oswald of the U.S. Attorney’s Office Criminal Division in Camden.
OKC Man Sentenced to More Than 14 Years in Prison for Drug ConspiracyRead the Press Release
United States Attorney Trent Shores announced that Juan Garcia, 29, of OKC, was sentenced today by United States District Judge John Dowdell to serve 170 months in federal prison. A jury previously found Garcia guilty of violating the federal drug conspiracy statute. After release from prison, Garcia must serve five years on supervised release. Parole has been abolished in the federal system.
On January 26, 2017, Tulsa Department Police officers pulled over a Chevrolet truck in which Garcia was a passenger. The truck had been following another vehicle engaged in transporting three pounds of methamphetamine from Oklahoma City to Tulsa. Upon a search of the truck and Garcia, officers discovered four cell phones in the truck and $19,915 on Garcia’s person. During the resulting investigation, state and federal law enforcement agencies discovered evidence that Garcia participated in a methamphetamine trafficking conspiracy. At the jury trial, the Assistant United States Attorney proved it, beyond a reasonable doubt.
United States Attorney Shores stated, “If you are a drug trafficker, we are looking your way. We will use all of the tools available to prevent you from bringing drugs into our community. Drug traffickers like Mr. Garcia will be held accountable in a court of law.”
The Drug Enforcement Administration and the Tulsa Police Department jointly investigated this matter. Assistant United States Attorney Eric O. Johnston represented the United States at the sentencing hearing.
New York Man Arrested for Role in ‘Shotgun’ Loan SchemeRead the Press Release
NEWARK, N.J. – A Bronx, New York, man is charged with carrying out a scheme to use bogus information and simultaneous loan applications at multiple banks to fraudulently obtain home equity lines of credit, a practice known as “shotgunning,” U.S. Attorney Craig Carpenito announced today.
Saoud “Sam” Rihan, 57, was arrested Jan. 28, 2018 and charged by complaint with one count of conspiracy to commit bank fraud. He is scheduled to appear this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court.
According to the complaint:
Rihan was a business partner of Simon Curanaj, 63, of Yonkers, New York. From 2012 through January 2014, Rihan, Curanaj, and others conspired to fraudulently obtain multiple home equity lines of credit (HELOC) from banks on residential properties in New Jersey and New York.
For example, Rihan and Curanaj executed a deed to transfer ownership of a Bronx property to people identified in the complaint as “Individual 1” and “Individual 2,” neither of whom lived at the property. Rihan and Curanaj then applied for three HELOCs from multiple banks in the name of Individual 2.
Rihan and Curanaj hid the fact that the same Bronx property was pledged as collateral in all three applications. The applications also fraudulently inflated Individual 2’s income. In addition, at the time the applications were made, the value of the Bronx property, which was encumbered by a mortgage, was far less than the amount of the HELOC loans that Rihan and the real estate broker applied for.
The victim banks eventually issued loans to Individual 2 in excess of $370,000. After the victim banks funded the HELOCs and deposited money into Individual 2’s bank accounts, Individual 2 disbursed almost all of the funds to Rihan, Curanaj, and others. In 2014, Individual 2 defaulted on all the HELOC loans.
The conspiracy to commit bank fraud charge carries a maximum potential penalty of 30 years in prison and a $1 million fine, or twice the gross gain or loss from the offense.
The charge and allegations against Rihan are merely accusations, and he is presumed innocent unless and until proven guilty.
Curanaj previously pleaded guilty to his role in the scheme and awaits sentencing.
U.S. Attorney Carpenito credited special agents of the Federal Housing Finance Agency – Office of Inspector General (FHFA-OIG), under the direction of Special Agent in Charge Steven Perez in Newark; and special agents of the FBI, under the direction Special Agent in Charge Timothy Gallagher in Newark, with the investigation.
The government is represented by Assistant U.S. Attorney Jason S. Gould of the U.S. Attorney’s Office Criminal Division in Newark and Special Assistant U.S. Attorney Kevin DiGregory of the FHFA-OIG.New Haven Woman Sentenced to 2 Years in Federal Prison for Role in Heroin Trafficking RingRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that WANDA PISCIL, 52, of New Haven, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 24 months of imprisonment, followed by three years of supervised release, for distributing heroin.
According to court documents and statements made in court, the DEA’s New Haven Tactical Diversion Squad targeted a New Haven-based heroin trafficking organization led by Bienvenido Gonzalez, also known as “Antonio” and “Julian,” and his brother, Antonio Gonzalez, also known as “Bienve.” The investigation, which included court-authorized wiretaps, controlled purchases of narcotics and physical and video surveillance, revealed that the Gonzalez brothers regularly purchased bulk quantities of heroin from suppliers located in the Bronx, New York, and sold the heroin through a network of redistributors, including PISCIL, in New Haven and elsewhere.
The investigation resulted in federal charges against 24 individuals.
PISCIL was arrested on March 16, 2017. On November 1, she pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribution of, heroin.
Bienvenido and Antonio Gonzalez previously pleaded guilty to related charges and await sentencing.
The DEA’s New Haven Tactical Diversion Squad includes officers from the Bristol, Hamden, Milford, Monroe, New Haven, Shelton, Wallingford and Wilton Police Departments. The New Haven, East Haven and West Haven Police Departments, together with the U.S. Coast Guard, provided valuable assistance to the investigation.
This case is being prosecuted by Assistant U.S. Attorneys Natasha M. Freismuth and Patrick F. Caruso.